Final acts of current council term adds over $2.2 million to
long term debt

Posted August
11, 2014

With New Tecumseth council facing 'lame duck status' in a month, and
only two scheduled meetings left before then including tonight's with
the authority to approve spending over $50,000, councillors are
expected to approve $2,275,000 (principle only) in long term debt to
finance four items approved in the 2014 budget.

Included is Phase two of the Adjala-Tecumseth Townline reconstruction,
$1,879,000; 13th Line road improvements, $53,000; a three-quarter ton
fire truck for Station 1, $57,000; and $286,000 for a new tanker truck,
Station 2.

Financing will come through the Ontario Infrastructure and Lands
Corporation (OILC). It's noted in the application that this debenture
will be funded 100 per cent from taxation.

The current council, which started its term in December 2010, set new
record for borrowing, adding nearly $45 million (principle only) in
long term debt, including $32 million for the regional sewage treatment
plant construction, of which development charges will cover the
majority of it, and $4.6 million for the Parsons Road Reservoir
expansion.

After the election and new term, councillors will have to debenture
over $25 million to pay for the Tottenham sewage treatment plant
construction, whose financing is also expected to be covered by
development charges.